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Strategic Guidance to Build Your Business
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Volume 3, Issue 4, March 2009
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"The Business Builder" is brought
to you by VSA, Inc. in collaboration with Rink
Consulting. VSA, Inc., founded by Valerie Schlitt,
builds and implements B2B prospecting programs for
businesses and professional service firms. VSA has
a
team of professional telephone callers who open
doors to new business opportunities for VSA clients.
Linda Rink, president of Rink Consulting, specializes
in
B2B and consumer marketing and research. Both
Wharton MBA graduates, Valerie and Linda often
team together to help clients identify and reach new
customers. In this newsletter, they share some of
their business development insights.
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Cold Calling: How to make long-term programs work!
by Valerie Schlitt, President of VSA, Inc.
Some companies implement short term cold calling
initiatives - and on occasion there are valid reasons
for such small campaigns.
For most companies these brief one-time cold-calling
efforts are a waste of investment and do not deliver
much value. The best cold calling programs span
months if not years and rely on a very effective sales
process to close leads.
Here are some recommendations, based on our long
term involvement in cold calling:
1. Pace your cold calling program
Make cold calls consistently, month in and month out.
We recommend 5 - 10 cold calling hours a week,
minimum.
- At this pace, you'll actually reach only about 20-40
decision makers, or fewer.
- A small fraction will result in qualified leads.
- You'll begin to fill your pipeline at a steady
pace.
- The timing of leads is unpredictable in any given
week or month, but over the long haul you will
generate a consistent level of new business.
2. Create a proactive, sales-oriented follow-up
process
Use true sales skills to follow-up on leads. This is
not a job for an order taker. This is not a job for a
team that takes inbound leads from the Internet. This
is a job for a real sales person.
Here's what you need:
- A pro-active follow-up process that utilizes the
phone, email and potentially mail and fax.
- Ability to qualify the lead further, identifying his or
her problem and how you can help solve it.
- Real sales skills that show why the prospective
client should do business with you.
- A sense of urgency.
Remember, the prospect did not call you first. This
prospect was sitting by a phone when you called, and
something you said piqued interest.
You need to continue to create interest and a sense of
urgency throughout the sales process.
3. Set realistic expectations
Cold calling is a proven way to generate sales, and
one of the oldest time-worn methods there is.
However:
- Cold Calling leads do not convert into business as
quickly
as "orders" from the Internet, unless there is an urgent
need. They may take months or longer to close. Do
not give up.
- They do not convert in consistent timeframes or
with
consistent effort. Some may close quickly with little
additional effort. Most will take active follow-up using
true sales skills. The end result is still new
business.
- Leads take a long time to identify. Remember:
just
because your product/service is unique compare to
your competitors, does not mean that everyone has an
immediate need, or is waiting for your phone call.
- They may not be uniformly qualified. When a
prospect
indicates an interest over the phone, they are reacting
positively to an unexpected offer. Over time, some
may realize this is a true need; others will decide your
service is not for them.
- In any given month your volume of leads will be
higher or lower than expected. So, don't expect the
high months to continue forever. And likewise, don't
give up in the slow months.
With the right set of expectations you can build a cold
calling program that produces ongoing business.
At the end of the day, it's all about the right
pace, sales plan and expectations! Cold calling is a
valuable sales and prospecting activity. It is not
magic. It is a lot of hard work both to make the calls
and to close the sales.
But it is proven and it works!
Got a cold calling question?
Want to know if cold calling could work for you?
Get free cold calling advice.
Call 856-240-8100 before April 1.
Ask for Valerie.
Set time for a 15 minute telephone debrief.
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VSA, Inc.
441 Station Avenue
Haddonfield, NJ 08033
856-429-5078
valerie.schlit@vsaprospecting.com
www.vsaprospecting.com
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You're the Best! Now Prove It!
by Linda Rink, President of RINK Consulting
These days, most of us have to work harder than
ever to gain new clients and sell more products or
services. But how do we convince prospects to
choose us? It's natural to start boasting, "Because
we're the best!" Yeah, right -- says who?
Recently I heard Lisa Dennis, president of Boston-
based Knowledgence Associates, give a presentation
to the Association for Accounting Marketing about
crafting a compelling value proposition. One point that
she made resonated with me: in their attempt to gain
a competitive edge, many companies make either
generic claims such as "we're one of the best in our
field," or unsubstantiated hyperbole, "we're number
one." As a researcher who frequently does
competitive analysis, I can attest to how common this
is, especially on company websites.
Claims such as "best" or "number one" are used so
often - and by competitors in the same field - that they
have lost meaning. Is it any wonder that prospective
customers are unimpressed, or worse, turned off?
You can win back your credibility by
substantiating your claims if you do it
believably and
honestly.
How you set yourself apart from your
competition must be, first, meaningful
(i.e., an
important criteria for prospects) and second,
believable (you must have
proof).
Here are 5 ways to prove your "we're the best!"
claim:
1) Outside experts
Lucky you if there is an objective authority in your field
which regularly ranks companies and you are ranked
# 1 this year! The more widely-accepted this authority
is - by both your peers and your customers - the
better.
Tip: Even if your prospects have never heard
of this ranking, if the rating criteria is important and
relevant to them, play it up. If it's not important to them,
by all means include it on your website and literature,
but don't give it top billing.
2) Special credentials
If you or your company have a unique expertise or
certification that sets you apart, this certainly can give
credence to your claims, as long as prospects see it
as relevant to their needs.
Lacking an industry-accepted authority, there is
nothing wrong with doing your own survey.
Whom to poll depends on the criteria you are looking
at:
3) A random sample of target customers
This is most suitable for assessing company image
or awareness versus your competitors. In most
cases, you will want a fairly large sample to give
weight to the results.
4) Your current customers
Surveying your customers is ideal for customer
service, product or service quality assessments. You
can also obtain valuable testimonials this
way.
5) Your peers
Similar to outside expert opinion, your peers can
judge you on special technical competencies or other
criteria that are valued within your industry.
Tips:
- In most cases, having an objective third party
conduct the research brings much more credibility to
the results. Depending on the situation, you may or
may not wish to have your company identified as the
one sponsoring the research.
- Quantitative substantiation is almost always more
impressive than qualitative (i.e., being ranked # 1 in
customer service by a sample of 500 is more
impressive than by a sample of 10).
- There are exceptions, however. Testimonials by a
few very well-known customers can carry a lot of
weight. So can endorsements by respected experts.
Actual quotations, directly attributed to an individual
(real name, not just a title), are essential in these
cases.
- It goes without saying that all your
communications should include information on how
the documentation was obtained.
Just as you evaluate the credentials of vendors and
suppliers before you buy, so do your prospective
customers. Do your claims stand up to
scrutiny?
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RINK
Consulting
1420 Locust Street, Suite 31N
Philadelphia, PA 19102
215-546-5863
lrink@lindarink.com
www.lindarink.com
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